MANILA— Del Monte Philippines will expand into the dairy sector with its 50-50 joint venture with Vinamilk, its parent Del Monte Pacific Ltd said Tuesday.
The joint venture will import dairy products from Vinamilk and distribute them in the Philippines, Del Monte said in a disclosure to the stock exchange.
Under the joint venture, products will be co-branded to leverage the "strong brand equity of Del Monte in the country," it said.
"The joint venture provides an opportunity for growth in the domestic dairy industry as Vinamilk expands into a new consumer market, and as Del Monte expands its footprint into a new category regularly consumed in Filipino households on a daily basis," Del Monte said.
Vinamilk or Vietnam Dairy Products JSC is a nutrition company based in Vietnam and is listed in the Ho Chi Minh Stock Exchange, the statement said.
Del Monte said Vinamilk has been exporting to 56 countries.
Meanwhile, Del Monte Philippines is a producer and distributor of healthy food and beverages including ready-to-drink pineapple juice.